Cognizant has announced plans to discharge 3,500 employees

Date:

Cognizant has announced job cuts

IT company Cognizant has announced plans to lay off 3,500 employees, which constitutes approximately 1% of its workforce, as it anticipates revenue to slow down in 2023. The company will also reduce its real estate costs by removing 80,000 seats and 11 million square feet in large Indian cities.

Cognizant has launched a program called ‘NextGen,’ aimed at simplifying its operating model, consolidating and realigning office space, and optimizing corporate functions for a post-pandemic hybrid work environment.

1% of its workforce
a program called ‘NextGen,

The company intends to operate with fewer layers to enhance agility and enable quicker decision-making. The savings from the program are expected to fund continued investments in people, revenue growth opportunities, and modern office spaces.

To summarize, IT major Cognizant plans to lay off around 1% of its workforce, or approximately 3,500 employees, due to slowing revenues in 2023. The company will also reduce its real estate costs by eliminating 80,000 seats and 11 million square feet in large cities in India under its ‘NextGen’ program.

The program aims to simplify the company’s operating model, optimize corporate functions, and realign office space to reflect the post-pandemic hybrid work environment. Cognizant reported a 3% YoY rise in net profit to $580 million in Q1 FY23, with revenue declining 0.3% YoY to $4.8 billion. The company expects to incur costs of approximately $400 million under the ‘NextGen’ program, with $350 million anticipated in 2023 and $50 million in 2024.

For More News & Entertainment please click Telugubullet

 

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Share post:

spot_img

Popular

More like this
Related

Telangana CM Casts Vote in Legislative Council By-Election

Telangana CM A. Revanth Reddy exercised his voting rights...

Hyderabad on High Alert: Heatwave Forecasted for April

As the scorching sun beats down on Hyderabad, residents...

Elon Musk Announces Free Premium Features for X Users

Elon Musk announced on Thursday that users of the...

Siddharth and Aditi Rao Hydari Not Married But Engaged

Amid swirling rumors, it's speculated that actors Siddharth and...